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Basic tips of setting up and start a restaurant business in Malaysia, from access to resources, skilled labor, licencing to incorporate a Sdn Bhd company.


Starting a Malaysia Restaurent Business

Malaysia’s ever-strengthening economy has allowed the country to become a lucrative investment destination. The country’s government has made investment by foreigners as well as locals simpler through the passage of a number of supportive legislations. One industry which has benefitted a great deal from such legislation is the restaurant and food services industry. There are several reasons as to why such is the case.

Why Restaurants in Malaysia Have Been Successful

Large Market

Malaysia receives many tourists because it is a world-renowned tourist destination. Therefore, restaurants across the country have clients from all over the world. Many Malaysians are also interested in trying various different types of foods. Therefore, the local market can also easily be accessed.

Ease of Startup

The Malaysian business industry allows for much and flexibility of investment. Thus, those who are interested can easily set up a restaurant without encountering many complications. As an aside, this also holds true for those who plan to set up a Malaysian Sdn Bhd company.

Easy Access to Resources and Labor

Resources are one of the major determinants of the successful progression of a company. Companies with easy access to resources do not have to spend much on acquisition of resources. Labor costs, including those for skilled and professional labor, are also relatively low in Malaysia when compared to those of other countries.

Thinking of incorporating in Malaysia? Let’s get started.

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Factors that Facilitate the Success of a Restaurant in Malaysia


The location of the restaurant is of prime importance during the setup phase. The location should place the restaurant in close proximity to both resources and the target market alike. The location therefore should be accessible through a suitable, reliable, and comfortable transport system. The location also should reflect the brand’s image. by displaying the restaurant’s desired image to clients. The restaurant also should be located in a place a place with a steady and stable supply of energy as well as other necessary resources including labor.



Those who own a restaurant in Malaysia need to consider the menu and its relation to the local culture. The menu needs to be unique as well as appealing to potential customers. As is to be expected, most foreign restaurateurs choose to utilize menus featuring foods from their native lands. Nevertheless, it must be noted that because world cultures are different, while one culture may accept a certain cuisine, another might not. Accessibility, familiarity, taste, and quality of the food of the restaurant will leave a positive impression on locals and foreigners alike. A mixture of foreign and local cuisines will do much to improve public perception of the restaurant.



The layout of the restaurant is important to both attract customers and maintain the brand’s image. The design has to incorporate both style and functionality alike. A quality design is one that allows for hospitality and accommodation. It should be both welcoming and satisfying. The design has to allow for the comfortable accommodation of clients and expansion of the restaurant should such be necessary while at the same time neither inconveniencing the clients nor disrupting the business.


Skilled Labor

Every restaurant requires skilled labor to maximize its capabilities for productivity and profit. Those of suitable education, experience, and skill level ought to be prioritized during the hiring process.



Another important aspect to be considered when starting a restaurant in Malaysia restaurant is that of financing. The restaurant must be adequately financed until it is able to be self-sufficient. Thus, every new restaurant in Malaysia requires a suitable and effective financial plan.


How to Set Up a Restaurant in Malaysia


The first steps to be taken when starting a restaurant in Malaysia are those related to the licensing of the business. A Malaysian business license is issued on various terms depending on whether the investor is local or foreign. To acquire the business license, the applicant must adhere to all required procedures and fulfill all the requirements. The business licenses to be obtained and used depend on the business and the nationality of the individual. Each license also has its own conditions and validity period.


Set Up a Malaysia Sdn Bhd company

One of the easiest ways to set up a restaurant business in Malaysia is by setting up a Sdn Bhd company. This private limited company must follow certain business stipulations in the country. The company has shares which may be held by either local or foreign shareholders. The Sdn Bhd company in question would have to be set up as a new company; thus, a new business registration procedure would have to be completed.


Incorporation of a Sdn Bhd Company in Malaysia

Some might not be interested in setting up their own Sdn Bhd company; they might prefer to incorporate one. Those who do so buy into an already established restaurant business and take control of its ownership. The new owner could then effect changes to the restaurant and its policies which are deemed to be necessary.



Setting up a restaurant in Malaysiais a relatively simple and straightforward process. This fact applies to locals and foreigners alike. Those who have completed the registration of the business and acquired all the necessary business licenses may commence business operations. When doing so, it is important to gain valuable information related to demographics, location, resources, and several other important facts. The large available market in Malaysia guarantees that owners who do not make any significant mistakes during the setting up of the restaurant will find that the restaurant brings them many benefits, both financial and otherwise.




How to Start a Restaurant Business in Malaysia FAQs

How Significant is the foreign presence across Malaysia’s Restaurants?2020-04-27T14:49:22+08:00

The majority of those who work in restaurants in Malaysia are foreigners. This is due to the fact that many Malaysians are uninterested in working in restaurants. Many of these foreigners are from countries such as Myanmar, Indonesia, India, and Bangladesh.

How many tourists enter Malaysia every year?2020-04-27T14:48:38+08:00

The latest statistics show that in 2018, approximately 25.83 million tourists entered Malaysia. The five countries which contributed the most to this total were Singapore, Indonesia, China, Thailand, and Brunei. However, this figure represents a slight decline; the total number of tourist arrivals in Malaysia in 2017 was 25.95 million.

What is the current status of Malaysia’s food and beverage (F&B) Industry?2020-04-27T14:47:46+08:00

Malaysia’s F&B industry has been trending in a positive direction. In 2018, the industry’s total revenue was approximately US$34 million. This total represents an annual growth rate of around 7.6%.

2021-02-02T17:52:30+08:00July 5, 2016|Comments Off on How to Start a Restaurant Business in Malaysia